The Securities and Exchange Commission (SEC) registered a record-breaking number of companies in 2024. A total of 52,304 new companies were registered in 2024, an increase of 6 percent from the 49,506 companies registered in 2023.

Notably, the SEC disclosed, the services industry accounted for 86 percent, or 44,872 of the new registrations, with the wholesale and retail trade, and repair of motor vehicles and motorcycles, industries accounting for 12,479 new registrants.

Further, stock corporations accounted for 75 percent, or 39,146 of the newly registered companies, while non-stock corporations accounted for 21 percent, or 10,782. While 8,640 were one-person corporations.

The remaining 5 percent, or 2,376, were partnerships. As can be gleaned from the registrations, the Philippines is leaning towards the service industry to pump-prime the economic growth of the country.

Corporations, due to their attributes of limited liability and separate juridical personality, serve as the primary vehicle for running a business.

A surge in corporate registrations is the most visible indicator of economic growth, progress, and development. As more businesses enter the market, they generate employment, reducing unemployment and increasing household income. With higher disposable income, consumer spending rises, driving demand for goods and services and creating a cycle of economic activity that fuels further business expansion.

The rise in the number of businesses also fosters competition which plays a crucial role in preventing monopolies. A competitive market encourages innovation, efficiency, and improved products and services, ultimately benefiting consumers. Companies are driven to enhance their products, adopt new technologies, and operate more efficiently to stay ahead.

The SEC has improved its systems to implement initiatives and enhance the ease of doing business in the country, particularly in the second half of 2024. In July 2024, the SEC took significant steps towards digitalization and streamlining the corporate registration process to be more accessible.

With the appointment of a new commissioner, the SEC recognized the need for efficiency and hastened the installation of user-friendly online registration.

One such innovation is OneSEC, a subsystem within the Electronic Simplified Processing of Application for Registration of Corporation (eSPARC), which enables users to register a corporation and secure a digital Certificate of Incorporation in under two minutes.

This groundbreaking system drastically reduces processing time, eliminating unnecessary delays which was prevalent with the previous system.

Meanwhile, the SEC Zuper Easy Registration Online (ZERO) platform allows individuals to register corporations online entirely, from anywhere in the world, at any time. By enabling digital authentication of system-generated forms, SEC ZERO ensures a seamless and fully remote registration experience.

Through these digital advancements, the SEC now fosters a business-friendly environment, making corporate registration more efficient, accessible, and convenient for entrepreneurs and investors alike.

A thriving corporate sector not only drives economic activity but uplifts communities by creating better job opportunities, expanding market choices, and strengthening economic resilience.

Recognizing its pivotal role, the SEC is committed to fostering a business-friendly environment by continuously enhancing regulatory frameworks, streamlining corporate processes, and embracing digital innovations.

With this milestone, the reinvigorated SEC launched the third wave of digital initiatives paving the way for sustained long-term development that will help build a stronger, more competitive, and investment-ready economy to benefit all Filipinos.